Obama announces final Clean Power Plan

The US President, Barack Obama, has announced the US Environmental Protection Agency’s final Clean Power Plan (CPP), promising to cut US carbon emissions from the power sector by 870 million short t – or 32% below 2005 levels – by 2030.

“We’re proud to finalise our historic CPP,” said EPA Administrator, Gina McCarthy. “The US is leading by example today, showing the world that climate action is an incredible economic opportunity to build a stronger foundation for growth.”

The final rule establishes guidelines for states to follow in developing and implementing their plans, the EPA said in a statement. The agency has also proposed a model rule that states can adopt, as well as a federal plan that will be put in place is a state fails to submit an adequate plan.

“The renewable energy sector should be a clear winner while merchant coal-fired generators could end up the big losers,” Paul Patterson, a New York-based utility analyst for Glenrock Associates LLC, told Bloomberg. “Given the rules’ complexity and controversy, those who could likely stand to benefit the most in the end might be the lawyers.”